Restaurant Feasibility Study in the New York-Newark-Jersey City, NY-NJ Metro Area

Sizing up 2,275 New York loans

Loan size comes first in reading the New York full-service restaurant record. Between FY2017 and FY2026, approved dollars of $1.27 billion back 2,275 full-service restaurant loans across the New York metro. The typical loan is $200,000, with the middle half spanning $50,000 to $620,000. At 0.73x of the national median for full-service restaurant, New York sits below the national figure.

New York against the nation at 1.10x

In New York, NY the split by program reads 2,164 for 7(a) against 111 for 504, with 7(a) ahead. In New York, 3.6% of the 2,275 loans belong to a franchise brand. Seen from New York, full-service restaurant ranks 1 of 39 among its classes; seen from the nation, New York ranks 1 of 821 among areas. 1.10x is the New York, NY quotient: the class is denser in New York than nationwide. By county, New York County, NY leads with 394 loans, then Bergen County, NJ with 246 and Kings County, NY with 221. With NJ, NY all inside the New York-Newark-Jersey City area, rules and costs may differ across one project search.

Who holds the 2,275 New York loans

The busiest printed year was FY2017, 330 loans and $144.2 million; the quietest was FY2020, 132 loans and $79.4 million. Among 7(a) holders of full-service restaurant loans, TD Bank, National Association (356 loans, $40.2 million); Manufacturers and Traders Trust Company (161 loans, $18.8 million); NewBank (147 loans, $107.4 million). TD Bank, National Association holds the most loans, while NewBank holds the most dollars, a split a New York borrower ought to note. The $40.2 million under TD Bank, National Association is a record from SBA of loans held or once held, and not a verdict on TD Bank, National Association's lending. For 504, Empire State Certified Development Corporation, 59 loans, $70.0 million and Trenton Business Assistance Corporation, 38 loans, $44.8 million lead the New York, NY list. Cancellation after approval is 16.8% at minimum and 17.9% at most, for New York-Newark-Jersey City approvals of FY2017 to FY2024. 921 loans form the loss cohort for New York-Newark-Jersey City; 8.5% have been charged off so far, 4.8% inside five years.

Testing a full-service restaurant project in New York, NY

A New York study starts with household dining spend, lunch and dinner traffic and the pull of the neighborhood after dark; the 2,275-loan record cannot stand in for them. Cost comes next: a New York budget must carry opening inventory, occupancy and buildout, each priced against New York quotes. Stress New York, NY earnings with a $50,000 loan and a $620,000 loan, then check where coverage weakens. The appraiser probes New York-Newark-Jersey City collateral too, namely the lease, the operating business and the building; a New York study anticipates each. The $1.27 billion New York file is a yardstick, not a forecast, and promises no New York, NY applicant approval.

How to read New York's $1.27 billion

Placement of 2,275 New York-Newark-Jersey City loans runs on the project county. Counties such as New York County, NY join New York, NY by name under the July 2023 delineation. Rates in New York name their own cohort years, so cancellation and charge-off differ in span.